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  • Writer's pictureJerryton Surya

Core marketing concepts

Philip Kotler invents the core marketing concepts. These core marketing concepts help marketers obtain what they need or want through creating, offering, discounts, and exchanging products of value with each other. Marketers use core marketing concepts to understand the market condition for their products or services and to identify, people's perceptions. It helps them to determine the cost, offers, discounts, promotions, and advertisements for their product or services.


Some people think these core marketing concepts are outdated and valueless but it is not. It is still used by marketers to understand the customer's perception of their products or services. These concepts can be easily understood and implemented by anyone in their business.


8 core concepts in marketing

  1. Needs

  2. Wants

  3. Demand

  4. Products

  5. Value

  6. Satisfaction

  7. Exchange

  8. Competition


Core marketing concepts
Core marketing concepts

Needs

Almost every customer has the same set of needs such as water, food, shelter, cars, etc,.

Marketers identify the customer's expectations of their needs by their demographics such as age, gender, location, and income to market and advertise their products or services.

Demographics play a major role in every aspect of marketing it helps marketers to identify their exact target customers.


For example, If a person is looking for a new car and his monthly income is 50,000USD dollars marketers will advertise the costliest car to him.


In Maslow's hierarchy theory, there are five types of needs


  • Stated

  • Real

  • Unstated

  • Delight

  • Secret


Stated needs

Generally, customers won't tell their full expectations (Needs) of products or services this need is called stated needs. Marketers have to find out these needs by asking questions or by analyzing customers only by satisfying these needs customers will become delighted


Real needs

These needs can be expressed openly by customers such as low-cost, durable, long-lasting products. Marketers have to carefully understand these needs to fulfill the customer's needs.


Unstated

Nowadays people expect good customer service even after they purchased these expectations will come under unstated needs. Marketers have to understand and take care of their customers even after delivery to make normal customers loyal.


Delight

This expectation is not common among customers but some customers expect some gifts from the dealer when they buy something expensive. Marketers have to give some gifts to make customers delighted. A delighted customer usually does word-of-mouth marketing for the product which makes them delighted.


Secret

Some customers buy expensive products like iPhones, Lamborghini, etc to show their status to others. These customers usually prefer highly expensive and well-known brands and they don't care about the price they care only about the quality of the product.



Wants

Although the need is the same for every customer each one wants a different type of need for survival. Some people drink normal water while some people drink only mineral water,

Some people can live in the one-bedroom apartment while some people live only in big houses,

People require different types of cars depending upon the expectations they have some people look for mileage some people look for speed it differs.


For example, Some people eat bread for breakfast while some eat oats. Breakfast is needed for everyone but the different options in the breakfast are called wants.


Demand

Each customer has a different type of wants but they need to have economical wealth to satisfy their wants.


In Philip Kotler’s core marketing concept Demand = Wants + Buying power


If marketers advertise their brand in a beautiful way to create wants in the mind of the customers who have good economical wealth to buy their brand it will create a demand.


Marketers can create demand in the customer's mind by using these steps


  • Determine target audience

  • Give offers

  • Advertise attractively

  • Use demand


Determine target audience

Make sure the economical condition of the people can afford your brands


Give offer

If the majority of the customers don't have good economical wealth to purchase your brand slightly reduce your pricing to increase sales.


Advertise attractively

A good advertisement will surely create wants in people's minds. Advertise exactly to the target audience using google ads, and social media ads where you can use plenty of filtering options to reach your target audience.


Use Demand

If demand is created among the customers you are allowed to increase the price a little.



Products

In service, it is always difficult for the markets to satisfy the customers because it is intangible. With products, marketers can satisfy the customers by providing a quality product, and good quality service even after product delivery. Marketers can increase the value of the product through product designs and packaging. Almost every customer expects a good quality product make sure to deliver that.


Value

The value is of two types,

  • Actual value

  • Perceived value


Actual value

The value of money, raw materials, and physical work is required to create a product or service.


Perceived value

What customer thinks the value of the product? This value can be increased by marketers using these factors.


  • Colors

  • Advertisements

  • Word-of-mouth marketing


Colors

Some colors like violet and black make the brands look more premium use these as primary brand colors to make it look premium it will increase your brand perceived value.


Advertisements

This is a place where psychology places a major role to increase perceived value among customers. The top celebrity that is famous among your target audience will surely increase perceived value among customers.


Word-of-mouth marketing

Making customers hear frequently about your brand will increase brand perceived value in the minds of the customers


Satisfaction

Nowadays a lot of organizations determined customer satisfaction as their success. A satisfied customer will become a loyal customer and brings more customers through word-of-mouth marketing. Each customer will get satisfied with different aspects some care for quality, some care for the price, and some care for customer service marketers have to find and deliver the customer expectations to make them satisfied. Dissatisfied customers are the worst enemies of every brand one dissatisfied customer can stop more than 20 new customers. In the services sector, customers can be satisfied by on-time delivery, quality of work, and customer support.


Exchange

Exchange determines the value of goods in all formats such as Money, Cryptocurrencies, materials, etc, In ancient times people used to exchange products will they were perceived as having the same values. Nowadays we are using Money and digital assets in exchange for products or services. Marketers have to make customers feel that their exchange is worth it.


Competition

Marketers always have to keep an eye on the competitors to predict their strategies, pricing, offers, etc, After the pandemic customers become extremely money-conscious they started looking for low-cost products. Use premium, skimming, and penetration pricing whenever it's needed to beat competitors. Customers will generally prefer the products which are more familiar to them make sure to advertise your product or services more frequently than your competitors.


Conclusion

These core marketing concepts seem very basic to marketers but it is extremely useful to gain customers and market share. It covers almost every aspect of marketing.






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